32red Regulatory News (TTR)

32Red Plc ("32Red" or "the Company")

William Hill Appeal Dismissed 

Following a six day trial in October 2010 in the High Court, judgment was handed down in January 2011 detailing 32Red's success in its trade mark action against members of the William Hill group ("William Hill").  As a result of that successful action, the William Hill-owned 32Vegas business was held to have infringed two of 32Red's European community trade marks. William Hill's counterclaim that the "32Red" and "32" trade marks should be invalidated, failed. Subsequently, the judge ordered that 32Red be granted an injunction against William Hill and ordered an inquiry to assess monetary damages, which is ongoing.

William Hill appealed this decision and a hearing took place in the Court of Appeal on 5^th and 6^th December 2011. The Court of Appeal described William Hill's case as a "full-scale, wide-ranging attack on the Judge's analysis and conclusions on virtually every aspect of his judgment". In a Judgment handed down today, the whole of William Hill's appeal against the trial judge's decision was dismissed.

Additionally, the Appeal court went further than the High Court and found that William Hill also infringed 32Red's registered trade mark for "32" and held that a further reason for finding infringement was that William Hill took unfair advantage of 32Red's well known trade marks.

In summary, and following approximately three years of argument, liability is now firmly established as follows:

·      The "32Red" and "32" trade marks are valid

·      The "32Red" marks were infringed by William Hill's use of 32Vegas

·      The "32" mark was infringed by William Hill's use of 32Vegas

·      The use of 32Vegas took unfair advantage of 32Red's trade marks

The costs associated with the Appeal, along with interest, have been awarded to 32Red and an initial sum of £70,000 is payable to 32Red within 14 days. The level of damages relating to this case and the liability for costs associated with the original Hearing will be assessed in an inquiry process before the High Court, now scheduled to be heard early in 2013.

The full Appeal Judgment will be available at http://www.bailii.org/ew/cases/EWCA/Civ/2012/19.html

Commenting on the result, Ed Ware, CEO of 32Red, said:

"We are delighted that the Court of Appeal has categorically dismissed William Hill's appeal. The success of our cross-appeal is also very satisfying. Quite correctly, the Court of Appeal's judgment also supported the view that taking advantage of a well known brand such as 32Red is not acceptable.

This judgment further underlines our Intellectual Property Rights and should deter other operators from infringing our trade marks. We are now focused on concluding this matter with William Hill and have already begun preparations for the inquiry into damages.''

24 January 2012

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